What are the biggest risks faced by today's HR? This question was asked by the British website HR Magazine which has just published an article with the definition of eight biggest HR risks, reasons why human resources should deal with them and practical advice on where to start with reducing these risks. We have chosen those that aren't relevant just for the UK.
1. Lack of skills
Finding the right people for the right jobs remains the biggest HR challenge. It should also be the basis of risk management and strategic planning in HR. Start by collecting data and creating a map of risks arising from a lack of skills regarding key business objectives of your company.
2. Succession
There is still only a minority of companies with succession plans for key roles. Therefore, another key challenge for HR is leadership development and securing adequate supply of talent for top management roles and gradually for lower management positions. Start by performing internal audits and obtaining the attention of senior management.
3. Ethical behavior
Unethical behavior of companies leads to significant damage to their brands, including an increased fluctuation and declining employee engagement. Therefore, HR has to create a culture in which ethical behavior will be a priority. Start by creating a code of ethics and establishing a commission to check compliance with the code.
4. Intellectual property
No company can afford to abuse its customer data. Human resources should prevent this as early as by focusing on how to select employees. Therefore, start by examining the recruitment process and train managers as well as employees about the importance of working with the data safely.
5. Mergers and acquisitions
Most of the risks associated with mergers and acquisitions refers to workers. Human resources should therefore come up with a strategy of employee integration. Start by identifying and planning for potential obstacles. Communicate primarily with line managers.
6. Supply chain
Nowadays, in the era of an immediate sharing of information, companies can no longer afford to have such a complex supply chain that they could not manage it safely. This is true not only for raw materials, but also for employees and external workers. Start by strengthening the observation of employee relations and recruitment agencies. Focus on where problems with working conditions may arise.
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